HAVAÍC hits major milestone with third close of $50M African innovation fund

Cape Town-based venture capital firm secures over $30 million in commitments as impact investor E Squared joins as latest backer

African venture capital firm HAVAÍC, a pan-African VC firm focused on backing early-stage, high-growth startups across the continent, has reached the third close of its African Innovation Fund 3, targeting a total raise of US$50 million. The announcement marks a significant step forward for the fund, which has now locked in more than US$30 million in commitments.

The latest close was driven in part by the entry of E Squared Investments, a South African impact investment firm founded by Allan Gray in 2007, whose participation signals growing institutional confidence in African venture capital as an asset class.

According to HAVAÍC, the fund is positioned to complete as many as 15 investments in post-revenue African startups that demonstrate strong regional and global scalability. Recent new positions include fintech players Entersekt and SAPay, while Talk360 and Sportable have received follow-on funding as part of the firm's continued commitment to its existing portfolio.

Pyi Maung, Chief Investment Officer at E Squared, pointed to HAVAÍC's history of results as a key factor in the decision to invest. "Their combination of capital and strategic support enables Africa-born startups to scale responsibly and access global markets, which aligns closely with E Squared's focus on long-term value creation," Maung said.

Ian Lessem, Managing Partner at HAVAÍC, framed the close as an opportunity to push harder on the firm's core thesis. "We look forward to accelerating our portfolio's impact with the support of E Squared's investment and doubling down on our strategy to grow local innovation by unlocking international markets," he said. Lessem added that the broader African VC ecosystem has the talent and technology needed to drive meaningful job creation and social progress, and argued that impact-focused investors should be paying closer attention.